April 11, 2020
Absent stronger federal leadership, the COVID-19 economic downturn is likely to be deeper and more prolonged than any since before World War II, says University of Rochester economist Narayana Kocherlakota. (Getty Images photo)
In the absence of mass testing, tracing, and quarantining for COVID-19, “We are going to have an extraordinary economic downturn,” says economist Narayana Kocherlakota.
The stimulus package that passed recently as the Coronavirus Aid, Relief, and Economic Security, or CARES, Act carried with it an assumption that “we’ll see a rapid economic recovery in the next 4 to 6 months,” says Narayana Kocherlakota, the Lionel W. McKenzie Professor of Economics at the University of Rochester. “My own forecast is that the downturn will be severe and last much longer.”